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Sebelius releases report on impact of proposed health reform on each state

By Diana Manos

Health and Human Services Secretary Kathleen Sebelius has released a report  that shows the impact proposed health reform would have on residents in each state.

The report, released Monday, shows that If Congress doesn't pass healthcare reform legislation, the number of uninsured people will grow by more than 30 percent in 29 states and by at least 10 percent in every state by 2019.

In addition, the report indicates the amount of uncompensated care provided will more than double in 45 states, businesses in 27 states will see their premiums more than double, and fewer people will have coverage through an employer.

"The time for health insurance reform is now," said Sebelius, who had scheduled a noontime press conference to release more details about the report.. "The healthcare status quo is not an option for our states."

For example, according to the report, health reform would impact 7.3 million California residents who do not currently have insurance. It said 2.7 million California residents who have non-group insurance would be able to get affordable coverage through a proposed health insurance exchange, 3.8 million residents would qualify for premium tax credits to help them purchase health coverage, and 4.5 million seniors would receive free preventive services.

In addition, the report said, 794,000 California seniors would pay half of what they pay now in brand-name drug costs, and 392,000 small businesses would receive a small business tax credit to make premiums more affordable.

Proposals implemented in 2010 and 2011 will produce "real benefits" for the 36.8 million residents of California and all other Americans, the study indicated, by ensuring consumer protections in the insurance market.

According to Sebelius, insurance companies will no longer be able to place lifetime limits on the coverage they provide, use of annual limits will be restricted, and they will not be able to arbitrarily drop coverage.

The report can be found online at www.healthreform.gov.